Financial Liability and Reputational Risk

Financial Liability and Reputational Risk

Without doubt the most important question you need answering before you consider using our service.

Financial Risk
All work carried out by us, or our Legal and Insurance partners, is done without financial risk to your institution. We all operate on what is commonly referred to as ‘No Win No Fee’.

In strict terms what this means is that all work carried out by us, from initial audit to the conclusion of the case is done at no upfront cost to you. You are not required to pay for any element of the report or, should you proceed with a claim, any associated upfront costs, such as Issue Fees, Barrister Costs or Expert Opinion costs.

Only should we be successful in the claim will you be required to pay a fee. This fee will be an agreed percentage of the savings made by you and made clear prior to you entering into an agreement with us.

For example, should a claim result in the future payments under the agreement being cancelled, then the fee will be a percentage of these savings. The exact percentage will be as stated in the agreement and will depend on when the claim is successfully completed and to what extent costs have been paid out to win the case.

Our legal and Insurance partners work in a similar fashion. There will only be a financial liability to them if the case is successful. These costs will be covered either by the success fee or if appropriate by the Finance Company or Supplier. You will not be liable for any other claim associated costs apart from the ‘success fee’

In all cases we will ensure that before any action is taken, and at any time whilst action is being taken, that the potential outcome will ensure that all cost liabilities will be covered by the savings and/or return of capital to the institution. Thereby ensuring that there is no Financial Liability left on the institution.

Should the claim prove unsuccessful then the only financial liability to the institution will be to pay any payments due to the defendant that may have been withheld during the process. These will have been payable in any case, so the institution will be in a no worse situation.

The only exception to the above, is should there be a breach of contract, as detailed in the agreement, then the institution may become liable for fees for work carried out by both LAS and the Legal partners.

The most probable scenario to this, is if having started the claim process, the institution accepts a settlement direct from the defendant without recourse to LAS or its legal partner, with the aim of not having to pay the success fee, then this could be deemed a breach of contract and result in a fee being payable.

Reputational Risk
We will ensure always that both the institution and it personnel, present and past, will not suffer from any reputational risk.

If there is any possibility of this then we will advise that the case be closed without further action or financial liability.